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China Tech Selloff Deepens as AI Concerns Hit Asian Markets

Bloomberg Markets •
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Growing anxiety about AI disruption is rattling China's tech sector, with Bloomberg's The China Show reporting investor concerns spreading across Asian markets. Hosts Yvonne Man and David Ingles revealed mounting unease about automation's impact on manufacturing and service industries, triggering selloffs in robotics and cloud computing stocks.

China's benchmark CSI 300 Tech Index fell 2.8% this week as analysts downgraded firms exposed to workforce automation. The selloff mirrors patterns seen in U.S. and European markets last quarter, where AI adoption fears erased $450 billion from tech valuations globally.

Policymakers now face pressure to balance innovation with labor protections. Recent State Council meetings included urgent discussions about retraining programs, while Tencent and Alibaba accelerate AI investments despite market turbulence. The divergence reflects China's struggle to maintain tech leadership while managing social stability risks.